Ethereum may have fallen due to trading bots as BitMine buys more ETH

Tom Lee at BitMine said automated trading and year-end tax-loss selling helped push Ethereum lower in late December, while BitMine added 44,463 ETH and now holds about 4.11 million ETH.

Ethereum has traded lower in late December and was below $3,000 around Dec. 28. BitMine's Tom Lee described the price weakness as linked to automated trading activity and year-end tax-loss selling that can influence thin holiday markets. BitMine continued to add to its holdings, buying 44,463 ETH during the week and expanding a large institutional treasury. Market commentators note that near-term risks remain, citing factors such as exchange reserves. What was reported: - Tom Lee said automated trading systems and year-end tax-loss related selling were driving the recent weakness in Ethereum prices. - BitMine reported an addition of 44,463 ETH over the past week. - BitMine held about 4.11 million ETH as of Dec. 28, with an approximate per-token value near $2,948 on that date. - The company said its total crypto holdings, cash, and strategic investments amount to $13.2 billion, which it described as the largest Ethereum treasury. - Ethereum was trading below $2,971 and had risen roughly 5% over the prior 30 days. - Some analysts warned that rising exchange reserves leave the token exposed to further downside. Summary: BitMine's purchases increase its sizable Ethereum treasury and may help absorb some selling pressure, while analysts report that downside risks still exist. Undetermined at this time.